The pharmaceutical marketplace is undergoing check my reference a tremendous offer of adjust. Corporations like Pfizer and Lilly are dealing with sizeable solution patent expirations. Plus, enterprise pipelines are insufficient to replace the revenues lost to patent expirations. Last of all, EU-based and US-based businesses and US are shifting their businesses toward higher-growth markets in China, India, along with other Emerging Marketplaces, making inside organizational turmoil within their property marketplaces.

As quite a few businesses understand, it really is decreasingly feasible to easily “research” your way out of these difficulties. Element of the answer to these problems is building and executing what we broadly confer with being a Business Improvement and Licensing strategy (BD&L). This method would include any and all options for seeking and financing external partnerships, licenses, mergers, and/or acquisitions.

Of course all multinational pharmaceutical and biotechnology companies have an BD&L group, usually led by a member on the senior administration team. Larger firms will have a team of a dozen or more executives, directors, and managers responsible for sourcing, analyzing, and recommending company advancement opportunities. Even smaller companies will have one or two individuals formally charged with the BD&L process.

So why should pharmaceutical firms, even large ones with large BD&L teams, use consulting corporations to assist them? We believe there are a few reasons why this is the case:

Progress of an Overarching Framework - Many pharmaceutical and biotechnology organizations should be applauded for having a strategic and focused BD&L framework. Quite a few businesses know exactly what they are looking for, i.e., asset type, stage of advancement, geography, deal structure, and so forth. A framework, even a simple one, makes it easier for the search team to identify and quickly eliminate opportunities that do not fit. This then enables the team to focus more time on those opportunities which might be a good fit. This results in better due diligence and faster offer making.

Unfortunately, there are many corporations which do not take a framework-driven approach. Quite a few searches are haphazard, where providers look for anything with a certain revenue potential, or anything that can be sold by their existing sales and marketing infrastructure. In our experience, any approach which aims to easily provide the sales organization with products to sell is unsustainable in the long run.

Savvy BD&L executives can leverage consultancies to help them develop this overarching framework, identifying the key variables which are important to the firm, its management, and its shareholders. Pharmaceutical management consultants can bring an objective perspective to an exercise which, if done properly, results in a roadmap that the BD&L team can then use to plan and execute a BD&L tactical plan.

Broaden Skill Set - We have noticed that quite a few smaller BD&L teams have strengths and skills in some areas, but not others. For example, some companies have BD&L teams led by scientists or clinicians or attorneys who lack the experience to quantitatively and financially assess opportunities. Using a consultancy can provide unbiased, rigorous quantitative analysis and financial modeling.

Extend Geographic Breadth and Depth - The traditional model for US and EU firms was to license drugs from Japanese businesses, because numerous innovative Japanese firms lacked the global presence to develop and market their innovations outside their household country.